BERWYN, Pa.—Shares of SunCom Wireless Holdings Inc. held firm as the company narrowed losses and added subscribers in the second quarter.
The operator reported a net loss of $110.4 million, down less than 3 percent from a $113.52 million loss in the year-earlier period. Churn declined from 2.5 percent to 2.2 percent in the first quarter and from 3.2 percent a year ago, and SunCom added more than 24,000 net subscribers on gross additions of more than 92,000 customers.
The company’s total quarterly revenue slid about 3 percent from the previous year, however, declining from $212.88 million to $206.69 million. Quarterly operating expenses decreased from $288.75 million to $278.2 million.
Wall Street analysts had expected larger losses on less revenue. The recent figures represent a substantial improvement from SunCom’s first-quarter results, when the operator’s stock plunged 20 percent due to widening financial losses.
“(Our) second-quarter results reflect the continued stabilization of our business and demonstrate the company’s opportunity to grow cash flows,” said Eric Haskell, SunCom’s interim chief executive officer. “The company has made solid strides in improving its operating metrics while at the same time addressing our need to grow revenues and leverage our existing cost structure.”
Shares of SunCom gained a penny, or less than one percent, to $1.36 following the report.
